UPDATE 1-Rotork sees improvement in second-quarter revenue

(Adds details, CEO and analyst comments; updates share
movement)

April 26 Britain's Rotork Plc, which
makes valve-control systems for the oil, gas and water
industries, said it expects second-quarter revenue to rise more
than the first quarter due to higher deliveries, particularly in
its fluid systems business.

Rotork said its order book stood at 218 million pounds at
March 31, 2013, a rise of 20 percent from the end of 2012.

"People would have expected revenue growth to be higher in
the first quarter, but actually its just a timing issue, by the
half year they'll be happy again," Chief Executive Peter France
told Reuters.

Rotork's fluid systems business - its second-largest revenue
contributor - designs and makes pneumatic and hydraulic
actuators. Order intake in the unit rose 27 percent during the
quarter.

The business benefits from industry investment in the oil
and gas sector and is most active in the United States, Latin
America, Australia and Middle East, the company said.

Rotork acquired actuator maker Schischek for 41 million
euros ($53.32 million) in January to enhance its exposure to the
explosion-proof-actuator market and boost its controls unit,
which contributes nearly 60 percent to revenue.

"Acquisitions should underpin growth forecasts and we expect
double-digit growth this year," Numis Securities analyst Scott
Cagehin said in a note.

The company's electric, pneumatic, and hydraulic actuators
and control systems are also used in marine, mining, food,
pharmaceutical and chemical industries.

Shares in the FTSE 250 component were trading up 3.7 percent
at 2800 pence at 0857 GMT on Friday on the London Stock
Exchange. The stock has risen about 6 percent since the
acquisition.
($1 = 0.6477 British pounds)
(Reporting by Abhirup Roy in Bangalore; Editing by Roshni
Menon)

Next In Hot Stocks

MILAN, Dec 9 A consortium of investment banks
that must decide whether to underwrite a privately-backed
5-billion euro rescue plan for Monte dei Paschi di Siena
believes there is not enough time and no willing
investors to execute the deal by a year-end deadline, a source
said on Friday.

Reuters is the news and media division of Thomson Reuters. Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. Learn more about Thomson Reuters products: